Sukrit Kapoor Shares Expert Insights in Business Standard on IBBI’s Push for Greater Transparency in Insolvency Framework

Sukrit Kapoor, Partner at King Stubb & Kasiva, was recently quoted in Business Standard, offering his expert perspective on the Insolvency and Bankruptcy Board of India’s (IBBI) latest discussion paper aimed at enhancing transparency and accountability in the insolvency resolution ecosystem.

Commenting on the proposed framework, Sukrit Kapoor said: “The Insolvency and Bankruptcy Board of India’s latest discussion paper marks an important step toward greater transparency and accountability in the insolvency resolution ecosystem. By introducing standardised templates for beneficial ownership disclosure and an eligibility affidavit under Section 32A of the IBC, the regulator is making a clear statement: in the resolution process, who stands behind the applicant is just as important as what they propose.”

He further noted that aligning these disclosures with the RBI’s KYC framework brings India’s insolvency regime closer to the transparency standards of the financial sector helping to close long-standing gaps that allowed opaque ownership structures to participate in resolution processes.

Sukrit added that these changes will “raise the bar for due diligence,” requiring resolution applicants to map out their complete ownership chains and affirm their eligibility upfront. This, in turn, will help Insolvency Professionals and Committees of Creditors assess bidders not only on financial feasibility but also on governance and integrity.

Recognising the regulator’s balanced approach, he appreciated the carve-out for listed companies and their subsidiaries, noting it “strikes a balance between transparency and practicality.”

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